What is the meaning behind this Panama joke published in a 1914 newspaper?

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This is possibly a reference to the difference in quality and price between the hats made in Ecuador (but sold and spread from Panama) from the early 19th Century and those made in China ('Tamsui hat') in the early 20th Century.

Mark Johnson 9490

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What is the meaning behind this Panama joke published in a 1914 newspaper?

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